The “At-Risk” list includes two distinct components. “Late Reports” highlights certain categories of entities that have not filed timely financial reports in compliance with the deadlines set forth in the Audit Act (NMSA 1978, Section 12-6-3) and the Audit Rule (2.2.2. NMAC). Entities on the Late Reports section of the list are “at-risk” in the sense that their financials have not been examined during the relevant fiscal year(s). If entities receiving public funds are not audited the risks of misstatements or fraud, waste and abuse increase.
In January 2016, the Office of the State Auditor added a second component of the list to bring greater awareness to entities that filed their financial reports on time, but whose independent auditors have concluded that there may be material and pervasive misstatements in the financial statements (adverse opinion) or that there is insufficient basis to form an opinion and any undetected misstatements could be material and pervasive (disclaimer of opinion). These entities are listed under the “Adverse or Disclaimer of Opinion” section.
Fiscal Year 2016 At-Risk List